Value Engineering By Anjana Sunil

Value engineering Anjana deep.R II MBA (HA)

DEFINITION 

Value engineering is a systematic approach aimed at achieving the desired functions of a product, a process, a system or a service at minimum overall cost without in any way affecting the quality, reliability, performance and safety.

STEPS 

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Selection and investigation of Project Analysis of existing functions and cost Evaluation and implementation of alternatives Observations

ORIENTATION PHASE 

Objective: To select a Specific Project and a Team

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Identification of "high cost/low value" area;

INFORMATION PHASE 

Objective: To provide a thorough understanding of the system, operation protocol or item under study by in-depth review of all the pertinent factual data.

FUNCTION PHASE 

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Objective: To assess its major function, cost and "relative worth"; and to determine functions Primary function answers the question "What does it do?", Secondary function answers the question, "What else does it do?".

CREATIVE PHASE 

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Objective: To speculate alternatives through brain storming. Reduce Pre- and Postoperation stay in hospital

EVALUATION PHASE

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Objective: To analyse the result of Creative Phase, and through an in-depth review of various alternatives (emerging from Creative Phase) short-list the best ideas for further expansion.

RECOMMENDATION PHASE: 

Objective: To collect additional pertinent data and to thoroughly analyse the best alternative emerging from Evaluation Phase; and prepare Cost Estimates and modify proposals to ensure flexibility if implemented.

IMPLEMENTATION PHASE 

Objective: To ensure that the approved proposal is rapidly and properly translated into action

CONCLUSION 

In this era of competition, each health provider will have to be cost-effective like other industries, so that they are able to provide the best service at least cost-attracting more customers